The recent article by Dan Walters (Voices, May 26) indicates a misunderstanding of tax increment financing.
A redevelopment area is selected which is blighted and yields a very low property tax. The redevelopment is designed to substantially increase the tax yield. This is the tax increment. Without redevelopment, no tax increment can occur.
The proposed Assembly Bill 11 would re-establish redevelopment law that existed several years ago. It specifies that at least 30 percent of the increment be used for affordable housing, and that no school or college district shall lose revenues as a result of the redevelopment.
It should be changed to apply more money for housing specifically, and less for associated infrastructure (as now stated). With some changes, it should become law.
